Many people are living longer thanks to modern day medicine, diet, and exercise. This is great when your health is still good, but we all must consider the later years that may require long-term care or nursing home care. Recent studies show that nursing home care can cost $168 per day. This figure adds up to over $61,000 per year. It is important to know what will Medicare pay for in a nursing home.
First, medicare will pay for up to 100 days per benefit period for nursing home care. However, after 20 days in the nursing home, the medicare recipient will have to pay a coinsurance payment. In 2001, the cost that medicare recipients had to pay per day was $101.50.
Medicaid is another federal health insurance plan available to low income people. However, a Medicaid recipient will have to liquidate all their assets before medicare will foot up to 70% of the nursing home bill. This means that everything of value will have to be sold and used toward nursing home care expenses.
It is important to plan ahead for your future. While you have the presence of mind, it is the best time to make plans for your old age. Do your research and find out exactly what medicare will pay for while you are in a nursing home.
This preparation will yield tremendous benefits during your later years;your family will definitely thank you for your careful planning.